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Indonesia

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On June 2, 2020, the United States Trade Representative (USTR) announced that his office is beginning investigations into digital services taxes that have been adopted or are being considered by a number of our trading partners. The investigations will be conducted under Section 301 of the 1974 Trade Act. This provision gives the USTR broad authority to investigate and respond to a foreign country’s action which may be unfair or discriminatory and negatively affect US Commerce. …

On June 2, 2020, the United States Trade Representative (USTR) announced that his office is beginning investigations [Docket No. USTR-2020-0022] into digital services taxes that have been adopted or are being considered by a number of the US’ trading partners. The investigations will be conducted under Section 301 of the Trade Act of 1974. This provision gives the USTR broad authority to investigate and respond to a foreign country’s action which may be unfair or…

On 6 February 2020, Indonesia ratified the Indonesia-Australia Comprehensive Economic Partnership Agreement (IA-CEPA). This followed ratification by Australia in mid-December. Indonesia is the fifth largest export market for Australian agricultural products. Once implemented, IA CEPA will provide preferential access for more than 99 percent of Australia’s agriculture goods imported by Indonesia.

On November 20, 2019, the Office of the US Trade Representative (USTR) published in the Federal Register a notice [Docket Number USTR–2019–0001] announcing the results of the 2019 annual Generalized System of Preferences (GSP) review with respect to: Products considered for removal from the list of eligible products for certain beneficiary countries; decisions related to competitive need limitations (CNLs), including petitions for waivers of CNLs; and requests to reinstate/ redesignate products previously excluded from GSP…

On November 19, 2019, the Office of the US Trade Representative (USTR) published in the Federal Register a notice announcing a hearing for the Generalized System of Preferences (GSP) country practice reviews of Azerbaijan, Ecuador, Georgia, Indonesia, Kazakhstan, Thailand, South Africa, and Uzbekistan, and the country designation review of Laos. These reviews will focus on whether: (1) Azerbaijan, Georgia, Kazakhstan, and Uzbekistan are meeting the GSP eligibility criterion requiring that a GSP beneficiary country afford…

On October 25, 2019, USTR announced that President Trump is suspending $1.3 billion in trade preferences for Thailand under the Generalized System of Preferences (GSP) based on its failure to adequately provide internationally-recognized worker rights. In addition, the President is restoring some GSP benefits for Ukraine following its passage of legislation aimed at addressing shortcomings in its intellectual property (IP) regime. USTR also announced it is opening new GSP eligibility reviews for two countries:  South…

Indonesia has announced that it would ban exports of nickel from the country from 1 January 2020 next year. The ban, under Energy and Mineral Resources Minister Regulation No. 5 of 2017 as amended by No. 28 of 2017 on Increase of Mineral Value Added through Processing and Refining Activities in Domestic (“Regulation 5”), brings forward an earlier planned measure that was only to be implemented in 2022. This export ban will apply to all…

On 5 April 2019, the European Commission reported that the seventh round of negotiations with Indonesia, that took place in Brussels from 11 to 15 March, brought about good progress across the board, particularly on the chapters on sanitary and phyto-sanitary measures, rules of origin and investment. The chapters on trade remedies and customs are now close to completion at technical level. The next round will be held before the summer in Indonesia. 

The Federal Council announced that on 16 December 2018, Federal Councillor Johann N. Schneider-Ammann, the economics minister of Liechtenstein and representatives of Iceland and Norway signed a free trade agreement with Indonesia’s minister for trade, Enggartiasto Lukita. Under the agreement, 98 percent of Swiss exports to Indonesia, the fourth most populous country in the world, will be exempt from customs duties over the coming years. Technical barriers to trade will be removed, market access for Swiss service providers made easier and bilateral economic relations in general improved. The EFTA states will collectively become Indonesia’s primary trading partner in Europe.